Halfmoon supervisor Melinda “Mindy” Wormuth was charged and arraigned Thursday in federal court, accused of accepting money in return for her official actions, lying to federal investigators and allegedly stealing from a campaign fund. Two hours later, she was brought into the Town of Waterford Court in handcuffs to answer charges by the state Attorney’s General’s office in a separate complaint.
ERICA MILLER — The Saratogian

ALBANY >> Halfmoon supervisor Melinda “Mindy” Wormuth was charged and arraigned Thursday in federal court, accused of accepting money in return for her official actions, lying to federal investigators about receiving the money, and allegedly stealing from a campaign fund.

She pleaded not guilty to the charges in Albany federal court and was released on her own recognizance.

Two hours later, she was brought into the Town of Waterford Court in handcuffs to answer charges by the state Attorney’s General’s office in a separate complaint. There, she was charged with third-degree grand larceny, fourth-degree grand larceny and first-degree offering a false instrument, all felonies. She also was charged with petit larceny.

That appearance before Town Justice Nancy M. Sunukjian did not require a plea. Wormuth is scheduled return to Waterford court at 6 p.m. Nov. 14 to answer the charges.

In both court appearances she was represented by attorney James Knox of the E. Stewart Jones Law Firm. Wormuth’s husband, Larry Wormuth, was with her for both and was not mentioned in either filing.

In federal court before Magistrate Judge Randolph F. Treece, Assistant U.S. Attorney Jeffrey Coffman said the town supervisor accepted $7,500 in cash characterized as consultant fees in return for using her official position as town supervisor and member of the Saratoga County Board of Supervisors to lobby for the legalization of Mixed Martial Arts. The second count charged her with lying about the money, claiming they were legal charges as part of accepting the consultant fees.

If convicted of the federal charges she faces up to 20 years in prison on the first count and up to five years in prison on the second count. She also could be ordered to pay a fine of up to $250,000 on each count.

Conditions of her release on the federal charges restrict her travel to northern new York. She was asked to surrender her passport but said she did not have one. The government asked that she enter in-patient and out-patient substance abuse therapy, but the judge chose to order her to refrain from excess alcohol use and refrain from the use of controlled substances. The judge also decided against a pre-trial recommendation that Wormuth be ordered to submit to a mental health checkup.

In federal court, a subdued Wormuth, 46, answered “yes your honor” to all questions asked of her and said very little else. She made no comments to the media at either court appearance.

The federal charges are the result of an ongoing investigation by the Federal-State Anti-corruption Task Force that includes the FBI, the state Attorney’s General Office, the Internal Revenue Service, the new York Comptroller’s Office and others.

In the state charges, Wormuth is said to have taken or withheld six $1,000 checks made out to the “Friends of Mindy Wormuth” campaign committee and one check for $250. With the charge of filing a false instrument she is said to have knowingly submitted an incorrect document for the “Friends of Mindy Wormuth” committee to the state Board of Elections.

The appearance on the state charges was moved from Halfmoon to Waterford because Wormuth’s brother-in-law is a town justice in Halfmoon. She has been the supervisor of Halfmoon since 2007, serving as head of the town board and as its representative on the county Board of Supervisors.

The Wormuths attracted attention in 2011, when they sold two homes they owned on Route 146 to Scott Earl, a large stock holder in and former owner of County Waste and Recycling. One of the homes is the family’s living quarters. The recycling company was one of several trying to buy the unused county landfill site. As a county supervisor, Wormuth would have a vote on the sale of the facility.

A request for a special prosecutor into the amounts paid for the homes from Saratoga County Democratic Committee Chairman Todd Kerner was made to Saratoga County District Attorney James Murphy III. Murphy chose to have his office investigate the sale prior to making a request for a separate prosecutor. His investigation found no irregularities with the sale, and a special prosecutor was never called.

In August, the state comptroller’s office issued an audit and report questioning the town’s financial methods. The report said from 2009 to 2011 the town overestimated its sales tax revenues and used rainy day funds to regularly finance day-to-day operations.

Wormuth stood firm on the town’s actions, saying a down national economy forced the town to make tough choices and the Town Board chose to dip into the funds rather than impose a tax. She called the report “political hackery.”

This spring she was passed over by the town Republican Committee for its endorsement for town supervisor in favor of Kevin Tollisen, a former town justice and former town councilman. Wormuth later decided not to run for re-election.

In September, the Halfmoon Town Board members asked for Wormuth’s resignation for being ineffective in her position. She refused and said she would finish her term, which ends Dec. 31. Thursday evening, Halfmoon town board member John Wasielewski said that the board unanimously voted to initiate legal action to have Wormuth removed from her position.

Last week, Wormuth submitted a doctor’s notice stating she could not return to work for 30 days.

As town and county supervisor for Halfmoon, her salary is approximately $70,000 a year.